PSA Group - Q1 2017 Revenue
Product offensive success and international development acceleration
• The Group’s revenue amounted to €13.6 billion, of which €9.0 billion for the Automotive division, an increase of 4.9%.
• Acceleration of international development: first production of the Peugeot 2008 in Iran with Iran Khodro and partnerships signed in Uruguay, Vietnam and India.
• Consolidated worldwide sales were up 4.2%, driven by Peugeot sales in Middle East and Africa.
The PSA Group’s first quarter 2017 revenue amounted to €13,629 million, of which €9,018 million for the Automotive division and €5,092 million for Faurecia. The Group’s revenue grew by 4.9% compared with Q1 2016. Automotive division revenue grew by 2.5%, mainly driven by the product mix improvement (+3.7%), linked to the success of recently launched models, that more than compensated the negative impact of exchange rates (-1.0%).
At the end of March 2017, inventories were slightly up at 390,000 vehicles1 .
Jean-Baptiste de Chatillon, Chief Financial Officer of the PSA Group and member of the Managing Board, said: « The success of our profitable organic growth plan ‘Push to Pass’ is confirmed by our recent launches and the acceleration of our international development. Despite an ever volatile and uncertain economic environment, our agility is more than ever a competitive advantage for achieving our growth and profitability objectives. »
In 2017, the Group expects the automotive market to grow by approximately 1% in Europe and 2% in Latin America. The market should also grow by 5% in China and remain stable in Russia.
Operational outlook: the objectives of the Push to Pass plan are to:
- deliver over 4.5% Automotive Recurring Operating Margin2 on average in 2016-2018, and target over 6% by 2021;
- deliver 10% Group revenue growth by 2018 vs 2015, and target additional 15% by 20213.
1Excluding China, including independent dealers.
2 Recurring Operating Income related to Revenue
3 At constant (2015) exchange rates
10 May 2017: Annual Shareholders’ Meeting
26 July 2017: 2017 interim results
25 October 2017: Third-quarter 2017 revenue